Yesterday's Reserve Bank lending restrictions did not go far enough, he says. He also warns that regardless of Reserve Bank lending restriction local banks may not be able to "keep lending at the current huge volumes anyway". Jennings warned that rising house prices and immigration-fuelled economic growth were masking an underlying "iceberg that lies ahead". He also backed the Reserve Bank's suggestion that New Zealand's immigration policies may be in need of review - something the Government has ruled out. Grimes argued for a massive building programme to drop house prices by 40 per cent.

Source: New Zealand Herald July 20, 2016 04:28 UTC